08-16-14: Mattnshilp
Gonna change the subject for a moment since I've got a week'ish until my next report.
I need an opinion.
Matt, last year I was faced with a very similar situation. I had a full range floor stander that was flat to the low 20s in a small, square shaped room. It overdrove the room and was less than desirable. Some big speakers do better than others, and you can get by with a near field setup and possibly consider using bags of play sand as a cheap way to manage energy initially. Dale Pitcher turned me onto this. My next room was a multi-use family space with valued ceilings, a wall of glass on one side, stone fireplace, etc. It sounded better simply due to the fact that the speakers had room to breathe (along with the ceiling height).
Thus I agree with Steve in sticking with the bigger room.
I too have tried computer-based manipulation of room acoustics (ala Spatial computing from Clayton Shaw of Emerald Physics fame) and while somewhat effective, it did not turn my 35K speakers into 100k speakers. I did not chase it that far though. Another friend had professional grade room correction software, and after going through all the trouble of creating a "ruler flat" measuring room, he bailed as it lacked musicality.